Stock valuations have climbed to levels reached just before Wall Street’s late 2018 plunge, leaving the market at risk of shocks such as the sell-off this week as global trade tensions mounted.
Under the traditional price-to-earnings ratio method of valuing equities, stocks recently rose to their most expensive level since September. The benchmark S&P 500 index peaked last year on Sept 20, before sliding nearly 20 per cent over the next three months.
Belgique Dernières Nouvelles, Belgique Actualités
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